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Nigeria-Taiwan Expand Industrial Cooperation

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By Mercy Kelani

This is due to Nig’s Spot in the World Bank’s Ease of Doing Business Report.

The chairman of the Taiwan External Trade Development Council, James Huang, declared that Nigeria and Taiwan’s industrial cooperation is expanding as a result of the country’s improved business climate. Huang emphasized the possibilities for trade expansion, industrial development, and Economic Growth between the two countries on Taiwan Technology Day in Lagos. To improve trade ties, his delegation went to the Dangote Refinery and the Asian Industrial Park, both of which were constructed by Taiwanese businesses. Huang highlighted Taiwan’s dominance in electronics, petrochemicals, manufacturing, and information technology.

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He added that more than 90% of the world’s data centres and computer servers are made in Taiwan. He sees a lot of potential for collaboration, especially in the fine chemical and petrochemical sectors, where Nigeria’s natural resources can be used by Taiwan. With increased industrial cooperation, Huang sees a win-win situation for both countries as the volume of trade between them grows. Taiwan and Nigeria have long had a modest but developing trading connection; in recent years, trade volumes have reached about $1.1 billion.

It is anticipated that Nig. will gain new employments as a result.

Natural resources and energy-related goods, such as liquefied Natural Gas (LNG), petrochemicals, and crude oil, are substantial imports from Nigeria into Taiwan. These goods are essential to the country’s Manufacturing and energy sectors. Nigeria enhances its industrial and technological advancement by importing electronics, machinery, and technology components from Taiwan in exchange. Regarding the collaboration’s economic impact, it is anticipated that Nigeria will gain thousands of new employment as a result of it, especially in manufacturing, technology, and petrochemicals.

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Taiwanese corporations constructed the nearly 500-acre Asian Industrial Park in Lagos, which is drawing interest from Taiwanese Investors as a designated area for technology-driven industrial expansion. Just this park has the ability to bring in millions of dollars a year and greatly increase Nigeria’s industrial capabilities. The relationship has faced obstacles in the past, such as trade restrictions, complicated regulatory frameworks, and inadequate Infrastructure in Nigeria, which discouraged Taiwanese investors. But recent government changes, such the implementation of the Companies and Allied Matters Act (CAMA) and raises in the rankings of ease of doing business, have significantly increased Nigeria’s appeal to international investors.

Taiwan and Nig.’s cooperation is expected to grow into new fields like AI.

In line with continuous efforts to streamline business registration, uphold contracts, and enhance credit availability, Nigeria advanced 15 spots between 2019 and 2021, according to the World Bank’s Ease of Doing Business index. Officials from Nigeria, such as those from the Nigerian Investment Promotion Commission (NIPC), have voiced hope for these industrial partnerships. In order to close the technology gap and strengthen local capability, for example, Yewande Sadiku, the former Executive Secretary of NIPC, has previously stressed the significance of such partnerships.

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She pointed out that drawing in Taiwanese capital will quicken Nigeria’s industrialization goals, especially in areas that demand cutting-edge technology assistance. In the coming years, Taiwan and Nigeria’s cooperation is expected to grow into new fields like artificial intelligence (AI), smart manufacturing, and renewable energy. A increasing number of collaborative ventures are being considered to establish smart factories in Nigeria, utilizing Taiwan’s Robotics and artificial intelligence know-how to bring Nigeria’s industrial processes up to date.

Related Article: Taiwan Requests Agreement Renewal from Nig.

Future initiatives that could help Nigeria’s Digital Economy include the Construction of modern data centres and new petrochemical facilities. Moreover, there are plans to create technology centers in Nigeria to promote Innovation and entrepreneurship in the area, modeled after Taiwan’s Hsinchu Science Park. These plans are now under consideration. All things considered, this improved cooperation has a great deal to offer in terms of economic gains. It can lead to a considerable rise in commerce, employment, and technical development for both countries.

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